The cost of piped Natural Gas (PNG) in the national capital and adjoining cities hiked by Rs 2.63 per unit on Friday, the second increase in rates in less than two weeks.

With this coming into effect, piped gas in Delhi will now cost Rs 50.59 per standard cubic meter, as against Rs 47.96 previously, according to Indraprastha Gas Ltd (IGL) - the firm that retails CNG to automobiles and piped cooking gas to households in the national capital and adjoining towns.

Taking to Twitter, the firm said, the increase is to "partially offset the increase in input gas cost."

Earlier, the rates were revised by Rs 2.1 per standard cubic meter (scm) on July 26.

The increase follows the government mandating the use of costlier imported Liquefied Natural Gas (LNG) to meet incremental demand.

State-owned GAIL averages out the rates of gas produced locally with the imported one before supplying to city gas retailers like IGL.

Meanwhile, several other cities in the country also witnessed a spike in the prices of piped cooking gas. In Mumbai, Mahanagar Gas Ltd hiked CNG price by Rs 6 per kg and PNG by Rs 4 a unit.

"Due to the significant increase in input gas cost, we have decided to recover the cost. Accordingly, we've increased the retail price of CNG to Rs 86 per kg and hiked domestic PNG by Rs 4 to Rs 52.50 in and around Mumbai," Mahanagar Gas Limited (MGL) said in a statement.

Meanwhile, the price of Compressed Natural Gas (CNG) remains the same. It continues to cost Rs 75.61 per kg.

IGL said PNG in Noida, Greater Noida, and Ghaziabad, which adjoin Delhi, will cost Rs 50.46 per scm, while in Gurugram it will be priced at Rs 48.79 per scm.

The price differs in different states depending on local taxes.

(With agency inputs)

Posted By: Anushka Vats